Risk, Uncertainty and Information

Introduction and module objectives:

The module deals with questions of how economic agents make decisions in situations under risk and uncertainty. Topics discussed may include: foundations of expected utility theory and its applications, violations of expected utility axioms, alternative models and their applications, measurement of social preferences using a number of simple experimental games and their policy implications.

Learning Outcomes:

By the end of the module students should be able to:

demonstrate comprehensive knowledge and understanding of models and their application in a variety of decision making situations;

demonstrate a critical understanding of concepts such as equilibrium and uncertainty;

critically analyse current issues of decision-making and their applications.